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North outperforms South in house price growth

North outperforms South in house price growth

5 min read

January 31, 2011

The North recorded faster growth in house prices than the South in the past 10 years, figures have shown.

According to a study by high street bank Halifax, the average cost of homes in the northern regions of the UK jumped by 102% in the past decade. However, the South recorded a growth of only 75% since 2010.

The strong surge in property values across the North has helped bridge the gap between house prices in the two regions.

Homes in the southern regions are now priced at an average of £206,091, which is 56% more than £132,163, the current average cost of a northern home.

But the research revealed there were signs that the trend was reversing as, in terms of individual regions, the South East has seen the biggest price gains during the past five years at 4%, while the North has recorded the steepest falls of 10%.

Across the whole of the UK, house prices are now 91% higher than they were at the end of 2000 at £164,310 - an increase of more than £78,000.

Suren Thiru, Halifax housing economist, said: "The turn of this century marked the start of a period of strong house price growth across the UK.

"The traditional home of price gains, the South, was left behind by strong growth in the North where house prices more than doubled over the period.

"However, recently, there has been a slight reversal of this trend with housing market in the South of England outperforming the rest of the country over the past few years."